–Senate Minority Leader: Admin Wants To Hike Taxes During Recession
–Will Press Democrats To Explain Why ‘Good Idea’ To Hike Taxes
By John Shaw
WASHINGTON (MNI) – Senate Minority Leader Mitch McConnell said
Tuesday that Republicans are eager for a fall debate with the White
House and congressional Democrats over the merits of renewing the tax
cuts that were passed in 2001 and 2003 and are set to expire at the end
of the year.
In comments after a Senate Republican policy luncheon, McConnell
said that all of the tax cuts passed in 2001 and 2003 should be renewed,
not just those for individuals making up to $200,000 and couples making
up to $250,000 as President Obama has supported.
“We look forward to that debate,” McConnell said.
He said that Republicans will press Democrats to explain “why it’s
a good idea to raise taxes in the middle of a recession.”
Senate Minority Whip Jon Kyl said tax increases are not the way to
reduce the nation’s budget deficits.
“You can’t tax your way out of this problem. You grow,” Kyl said.
Lawmakers have begun to skirmish in earnest over the fate of the
’01 and ’03 tax cuts. No congressional votes on the matter are expected
before September.
Treasury Secretary Timothy Geithner has said the administration
supports allowing the tax cuts for the wealthy to expire at the end of
the year.
Both the administration and congressional Democrats have repeatedly
said that tax cuts for individuals making up to $200,000 and couples
earning up to $250,000 should be extended.
The cost of extending these tax cuts would be about $1.4 trillion
over a decade. Extending all of the ’01 and ’03 tax cuts would cost more
than $2 trillion over a decade.
Congressional Republican leaders support extending all of the ’01
and ’03 tax cuts. They have generally said that no offsets should be
required.
** Market News International Washington Bureau: (202) 371-2121 **
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